Sony Honda Mobility (SHM), an electric vehicle joint venture between the consumer electronics and automotive giants has decided to scrap the development and launch of its first model, Afeela 1, and its second model.
The JV launched in September 2022 with a goal to "develop and sell high value-added mobility products and to provide mobility-related services by combining the technologies, expertise and development capabilities of Sony and Honda."
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But earlier this month, Honda announced a reassessment of its automobile electrification strategy and killed three EV models that were close to being production ready.
As a result, SHM will not be able to use certain technologies and assets that were originally planned to be provided by Honda, leaving it without a viable path forward for launching the Afeela later this year.
SHM unveiled an Afeela prototype in 2023 and said it was scheduled to enter production at one of Honda's 12 U.S. manufacturing facilities, with U.S. customer deliveries expected in 2026.
Now, SHM must issue full refunds to Afeela 1 reservation holders. SHM said it will continue discussions with Sony and Honda regarding its future business plans.
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